IRVINE, Calif.--(BUSINESS WIRE)--CoreLogic® (NYSE: CLGX), a leading global property
information, analytics and data-enabled solutions provider, today
released its CoreLogic Home Price Index (HPI™) and HPI
Forecast™ for December 2017, which shows home prices are up
both year over year and month over month. Home prices nationally
increased year over year by 6.6 percent from December 2016 to December
2017, and on a month-over-month basis home prices increased by 0.5
percent in December 2017 compared with November
2017,* according to the CoreLogic HPI.

Looking ahead, the CoreLogic HPI Forecast indicates that home prices
will increase by 4.3 percent on a year-over-year basis from December
2017 to December 2018, and on a month-over-month basis home prices are
expected to decrease by 0.4 percent from December 2017 to January 2018.
The CoreLogic HPI Forecast is a projection of home prices using the
CoreLogic HPI and other economic variables. Values are derived from
state-level forecasts by weighting indices according to the number of
owner-occupied households for each state.

“The number of homes for sale has remained very low,” said Dr. Frank
Nothaft, chief economist for CoreLogic. “Job growth lowered the
unemployment rate to 4.1 percent by year’s end, the lowest level in 17
years. Rising income and consumer confidence has increased the number of
prospective homebuyers. The net result of rising demand and limited
for-sale inventory is a continued appreciation in home prices.”

According to CoreLogic Market Condition Indicators (MCI) data, an
analysis of housing values in the country’s 100 largest metropolitan
areas based on housing stock, 35 percent of metropolitan areas have an
overvalued housing market as of December 2017. The MCI analysis
categorizes home prices in individual markets as undervalued, at value
or overvalued by comparing home prices to their long-run, sustainable
levels, which are supported by local market fundamentals such as
disposable income. Also, as of December, 28 percent of the top 100
metropolitan areas were undervalued and 37 percent were at value. When
looking at only the top 50 markets based on housing stock, 48 percent
were overvalued, 14 percent were undervalued and 38 percent were at
value. The MCI analysis defines an overvalued housing market as one in
which home prices are at least 10 percent higher than the long-term,
sustainable level, while an undervalued housing market is one in which
home prices are at least 10 percent below the sustainable level.

“Home prices continue to rise as a result of aggressive monetary policy,
the economic and jobs recovery and a lack of housing stock. The largest
price gains during 2017 were in five Western states: California, Idaho,
Nevada, Utah and Washington,” said Frank Martell, president and CEO of
CoreLogic. “As home prices and the cost of originating loans rise,
affordability continues to erode, making it more challenging for both
first time buyers and moderate-income families to buy. At this point, we
estimate that more than one-third of the 100 largest metropolitan areas
are overvalued.”

*November 2017 data was revised. Revisions with public records data are
standard, and to ensure accuracy, CoreLogic incorporates the newly
released public data to provide updated results.

MethodologyThe CoreLogic HPI™
is built on industry-leading public record, servicing and securities
real-estate databases and incorporates more than 40 years of
repeat-sales transactions for analyzing home price trends. Generally
released on the first Tuesday of each month with an average five-week
lag, the CoreLogic HPI is designed to provide an early indication of
home price trends by market segment and for the “Single-Family Combined”
tier representing the most comprehensive set of properties, including
all sales for single-family attached and single-family detached
properties. The indexes are fully revised with each release and employ
techniques to signal turning points sooner. The CoreLogic HPI provides
measures for multiple market segments, referred to as tiers, based on
property type, price, time between sales, loan type (conforming vs.
non-conforming) and distressed sales. Broad national coverage is
available from the national level down to ZIP Code, including
non-disclosure states.

CoreLogic HPI Forecasts™ are
based on a two-stage, error-correction econometric model that combines
the equilibrium home price—as a function of real disposable income per
capita—with short-run fluctuations caused by market momentum,
mean-reversion, and exogenous economic shocks like changes in the
unemployment rate. With a 30-year forecast horizon, CoreLogic HPI
Forecasts project CoreLogic HPI levels for two tiers—“Single-Family
Combined” (both attached and detached) and “Single-Family Combined
Excluding Distressed Sales.” As a companion to the CoreLogic HPI
Forecasts, Stress-Testing Scenarios align with Comprehensive Capital
Analysis and Review (CCAR) national scenarios to project five years of
home prices under baseline, adverse and severely adverse scenarios at
state, Core Based Statistical Area (CBSA) and ZIP Code levels. The
forecast accuracy represents a 95-percent statistical confidence
interval with a +/- 2.0 percent margin of error for the index.

Source: CoreLogicThe data provided are for use only by the
primary recipient or the primary recipient's publication or broadcast.
This data may not be resold, republished or licensed to any other
source, including publications and sources owned by the primary
recipient’s parent company without prior written permission from
CoreLogic. Any CoreLogic data used for publication or broadcast, in
whole or in part, must be sourced as coming from CoreLogic, a data and
analytics company. For use with broadcast or web content, the citation
must directly accompany first reference of the data. If the data are
illustrated with maps, charts, graphs or other visual elements, the
CoreLogic logo must be included on screen or website. For questions,
analysis or interpretation of the data, contact Lori Guyton at lguyton@cvic.com
or Bill Campbell at bill@campbelllewis.com.
Data provided may not be modified without the prior written permission
of CoreLogic. Do not use the data in any unlawful manner. The data are
compiled from public records, contributory databases and proprietary
analytics, and its accuracy is dependent upon these sources.

About CoreLogicCoreLogic (NYSE: CLGX) is a leading global
property information, analytics and data-enabled solutions provider. The
company's combined data from public, contributory and proprietary
sources includes over 4.5 billion records spanning more than 50 years,
providing detailed coverage of property, mortgages and other
encumbrances, consumer credit, tenancy, location, hazard risk and
related performance information. The markets CoreLogic serves include
real estate and mortgage finance, insurance, capital markets, and the
public sector. CoreLogic delivers value to clients through unique data,
analytics, workflow technology, advisory and managed services. Clients
rely on CoreLogic to help identify and manage growth opportunities,
improve performance and mitigate risk. Headquartered in Irvine, Calif.,
CoreLogic operates in North America, Western Europe and Asia Pacific.
For more information, please visit www.corelogic.com.